Financial Matters
Financial planning is a cornerstone of entrepreneurial success. Whether you're managing a farm, launching a new venture, or expanding an existing operation, understanding your financial health is essential. Successful business owners keep a close eye on budgets, understand the terms of their loans, know how to leverage investments, and build safety nets for unforeseen circumstances. They know when to delay personal purchases—like a new home, car, or vacation—until their business can support them. They also understand the strategic principle of "spending money to make money" and do so with informed decisions.
Why Financial Matters?
A strong financial foundation helps you:
- Develop and follow a business plan
- Make informed borrowing decisions
- Understand risk and return
- Save for unexpected expenses
- Prioritize investments and personal goals
- Achieve long-term sustainability and profitability
Creating a business plan will be necessary as you make financial decisions. A solid plan helps you communicate your mission, goals, marketing strategy, and financial needs to potential lenders, investors, and stakeholders. It also serves as a roadmap for guiding business decisions and evaluating progress.
Featured Financial Planning Tools
AgPlan is a powerful website developed to help rural businesses develop a business plan. AgPlan is free of charge for anyone to use individually or in educational programs. It is designed to provide customized assistance to different types of rural businesses. https://agplan.umn.edu/
Farm Business Planning Workbook and Accompanying Resources
Use this page to explore tools and guidance designed to help you navigate the financial side of entrepreneurship.
Explore Resources on Financial Matters
Traditional funding sources include local banks and credit unions, the Farm Credit System, and the USDA Farm Service Agency (FSA). These institutions offer loans and grants for agriculture and small business needs, but typically require a solid business plan, good credit, and collateral. Building strong relationships with lenders is essential.
For entrepreneurs who may not qualify for traditional loans, alternative funding options include microloans, crowdfunding platforms, angel investors, venture capitalists, and grants or competitions. These sources can provide flexible support for startups, innovative projects, and underserved business owners.
Financial Information Disclaimer:
The financial information, tools, and resources provided on this website are for general informational and educational purposes only. They are not intended to be a substitute for professional financial, legal, or tax advice. Users are encouraged to consult with qualified professionals before making any financial decisions.